Holiday Shopping Trends to Help You Win at Retail
The 2023 holiday season is in full swing, but there is still plenty of time to inspire shoppers. In fact, that’s what they are coming to expect, thanks to social media. They want to be “influenced” on everything from what to gift to what to serve at holiday get-togethers.
SmartCommerce collaborated with Nextdoor on a comprehensive holiday study to uncover key consumer behaviors shaping this year’s holiday season, and the findings are fascinating. Read on for some interesting insights and last-minute tactics that can optimize your holiday marketing campaigns and have a big impact on your holiday season sales.
Shoppers are ready and waiting to be inspired to shop
Gone are the days of consumers deciding what to buy for each person on their list on their own. They are sitting back and waiting to be inspired by ads, social media, and online articles. According to our research, more than 75% of consumers recognize that they are getting product ideas from ads, 63% see the effect of social media, and 43% will purchase holiday gifts based on recommendations from influencers. This shift in shopping behavior leaves marketers with so much opportunity.
What social platforms work best with consumers? Depends on their age
Consumer shopping habits and sources of inspiration vary significantly by age group. According to our survey, 57% of participants in the 18-34 set are turning to social media for shopping ideas (63% most likely from TikTok), while 41% of those in the 35+ age group will lean on social media (49% most likely from Facebook, 24% from TikTok). The majority of consumers across all age groups find personalized product recommendations from brands and retailers to be helpful.
Incentives to save influence store choice
Economic realities are having an impact on holiday shopping. Consumers are looking for savings across the board – 92% favoring stores with free shipping, 86% valuing free returns, 76% being swayed by loyalty and rewards programs, and 55% showing interest in discounts for bringing in used items. Furthermore, 84% will wait for a sale to do the majority of shopping, 62% will purchase online for in-store/curbside pickup (to avoid shipping costs), and 46% will use Buy Now Pay Later (BNPL) to split up the purchase cost.
As for the actual gifts…
Due to inflation, 54% of consumers will prioritize needs over wants this year, a 12% increase year-over-year. And 25% will spend more on experiences (think travel, concerts, and sporting events), a 10% year-over-year increase. And whatever you do, don’t forget about gift cards! An impressive 59% of our survey participants said they plan to purchase gift cards this year, leaving an ideal last-minute opportunity for marketers.
These insights can help brands and retailers drive holiday sales by connecting with consumers in meaningful ways. Those who want to boost end-of-year sales would be wise to adopt these emerging trends and provide consumers with the online experiences they desire. Get creative, think outside the box, and inspire consumers to make the most of your holiday campaigns.
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This article contributed by SmartCommerce and Nextdoor
